> ## Documentation Index > Fetch the complete documentation index at: https://docs.amberdata.io/llms.txt > Use this file to discover all available pages before exploring further. # Overview *** # Description **Realized Capitalization (Realized Cap)** measures the value of each unit of a cryptocurrency based on the price at which it last moved on-chain. In contrast to **Market Capitalization**, which values all units at the current market price, Realized Cap reflects the collective cost basis of market participants. **Realized Price** is calculated as: **Realized Price = Realized Cap / Supply** This represents the average price paid for all circulating coins, based on the last time each coin moved on-chain. * When **Realized Cap > Market Cap**, the network is in an aggregate unrealized loss. * When **Realized Cap \< Market Cap**, the network is in aggregate profit. * When **Market Price > Realized Price**, market participants are generally in profit. * When **Market Price \< Realized Price**, participants are generally in loss. Coverage includes **Bitcoin (BTC)** and **Ethereum (ETH)**. *** # Use Case \*\*Traders: \*\*Realized Cap can help determine whether activity is primarily off-chain (e.g., on centralized exchanges) or on-chain (e.g., DEX transactions or wallet transfers). \*\*Analysts: \*\*Realized Cap and Realized Price provide insight into whether the market is in a phase of accumulation, profit-taking, or loss realization. \*\*Researchers: \*\*Realized Cap enables comparisons between the crypto market cycle and traditional assets by aligning network valuation trends with macroeconomic indicators or commodity cycles. *** # Methodology Realized Price = Realized Cap / Supply ***